Unit One

3. The condition that results because human wants are unlimited while resources are limited
4. Fairness is the distribution of income, opportunity, and economic outcomes
5. Decision making that compares the additional benefit and additional cost of one more unit of an activity
8. A reward or penalty that motivates people to act or change their behavior
11. Mutual reliance among individuals, businesses, religions, or nations for goods, services, and resources
15. The study of individual consumers, households, firms, industries, and their economic decisions
16. The additional satisfaction or benefit received from consuming or doing one more unit
17. Using resources in ways that meet present needs without reducing the ability of future generations to meet theirs
20. All alternatives sacrificed when one choice is made

1. An economic system in which the government makes most economic decisions and owns or controls productive resources
2. The study of the economy as a whole, including national output, unemployment, inflation, and growth.
6. Concentrating productive effort on a limited number or tasks or products to increase efficiency and output
7. Using Scarce Resources so that the greatest possible output or benefit is produced with the least waste
9. The willingness and ability to organize the factors of production, create goods or services, and accept business risk in pursuit of profit
10. Producing a good or service at the lowest possible cost and opportunity on the production possibilities curve
12. Human made tools, machines, buildings, technology, and equipment used in production
13. The social science that studies how people and societies allocate scarce resources to satisfy unlimited wants
14. All natural resources used to produce goods and services
18. The physical and mental effect people contribute to the production of goods and services
19. Human- made resources used to produce goods and services; it includes physical capital and human capital.